Unlock the Editor’s Digest for free
Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.
Ministers are set to give the go-ahead for a £10bn road tunnel between Kent and Essex called the Lower Thames Crossing after years of delay, with the private sector expected to finance much of the project.
Transport secretary Heidi Alexander will on Tuesday approve a development consent order for the long-awaited project, according to UK government officials.
The 14-mile road and tunnel will be the first wholly new Thames river crossing east of London in 60 years. The news comes ahead of Rachel Reeves’ Spring Statement on Wednesday.
One official said the project would be a “key strategic route” for drivers, freight and logistics, improving connectivity between southern England and the Midlands and unlocking regional economic growth.
“This demonstrates this government’s commitment to delivering the vital infrastructure the country needs,” they said.
The scheme has become a symbol of Britain’s sclerotic planning system, with more than £1.2bn spent on the project despite construction not having yet started.
The money has been spent on planning, consultations, traffic modelling, environmental assessments, legal and advisory fees and land purchases.
The planning document for the project runs to 359,070 pages, equivalent to nearly 300 times the complete works of William Shakespeare.
The cost of the tunnel project has already risen from between £5.3bn and £6.8bn when it was first agreed in 2017 to a current forecast of about £10bn.
It is expected that construction would start in 2026 or early 2027 ahead of a planned opening by 2032.
The government is yet to decide what method of private finance to use on the project, with a decision expected later this year by the Treasury.